Good morning! This week, we explain the state of Brazilian public service. What will become of the president’s party, without the president? Brazil’s young, immature democracy. (This newsletter is for platinum and gold subscribers only. Become one now!)
Breaking down Brazil’s public service
Following the overhaul of Brazil’s pension system, the federal government is now keen on revamping the country’s public service. The administration was set to announce its reform project two weeks ago alongside a package by the Economy Ministry to reshape the Brazilian state. The government, however, is hesitant, due to fears that the strong lobby of civil servants will spark violent protests such as the ones in Chile or Bolivia.
Why it matters. Brazil spends 13 percent of its GDP on the salaries and pensions of public servants, the 15th-most among 142 nations analyzed by the World Bank.
Not that big. Despite the huge expenditure, just over 12 percent of Brazilian workers are employed by public institutions. That is less than the average among OECD countries—and even more liberal, pro-market states, such as the U.S. and the United Kingdom.
Decentralized. Over the past 20 years, Brazil has seen an explosion of municipal-level servants, while those at the...